Dubai Municipality is all set to introduce a mandatory affordable quota proposal for the middle income residents. The proposal will enable the residents to afford a house to combat the surging house rents and real estate prices. The proposal is said to catalyze the real estate market in coming years.
The fresh move is said to be boon for several middle income families who are unable to bear inflation. Many real estate consultants mentioned that the step will bring benefits to emirates and will be boost the market. The concept of affordable housing is mostly used by developed economies to provide relief to its middle income class.
The land for the development of affordable housing is yet not been finalized. However, Karama and Satwa are two key areas where the project could start. Both the places are situated at the edge of Deira-Bur Dubai and Jumeirah districts.
However, building affordable land is not that easy in Dubai. Since last 24 months, the land rates in Dubai have touched sky. The developers willing to work in affordable housing scheme may have to subsidize the sales price. Such housing scheme is likely to bring a surge in interest of residents in real estate market.